Monday, 25 June 2018

CAPE TOWN – According to newly-leaked documents, software company SAP allegedly knew that it was conducting business with the Gupta’s, a year before the #GuptaLeaks allegations came to light.

In July last year, SAP denied the accusations in the #GuptaLeaks that it had paid R100 million in commission to a Gupta-linked company, in order to secure contracts from Eskom and Transnet, reports Fin24.

However, according to recent documents that were leaked to the SABC and amaBhungane, SAP reportedly knew that it was conducting business with the Gupta’s, a year before the #GuptaLeaks allegations surfaced.

In addition, nearly R73 million was paid in after SAP was warned that the Gupta’s were involved in April 2016.

SAP then reportedly proceeded with a R495 million deal with Eskom.

SAP was aware of all the risks of the contracts. This is reportedly evident in the memo that global compliance head Melissa Lea sent to staff in January 2016 in which she reminds staff of the high risk of corruption when dealing with “business development partners”.

Meanwhile, in March this year, SAP SE said a probe into its dealings with the Guptas found that the German software giant paid about R128.6 million to businesses linked to the family to win contracts with state-owned companies.

Three senior executives who were suspended last year have now quit, the Walldorf-based company said in a statement.

SAP has strengthened its legal and compliance teams and said is was co-operating with ongoing investigations by US and South African authorities.

Details of the payments to Gupta-related third-parties come after SAP said last year it was being probed by the US Department of Justice and the US Securities and Exchange Commission over how it won contracts with South African state businesses Eskom Holdings SOC Ltd. and Transnet SOC Ltd.

It’s one of several international companies to have become involved in corruption allegations surrounding the Guptas, including McKinsey & Co Inc. and KPMG LLP.

The Guptas, who are friends with former President Zuma and in business with Duduzuma Zuma, are accused of using their political connections to win state contracts and influence ministerial appointments. They and the Zumas deny wrong doing.

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